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What is 'Fair Market Value - FMV' In its simplest sense, fair market value (FMV) is the price that property would sell for on the open market.
â If the market value of equity refers to the market value of equity of. common stock outstanding, the book value of common equity should be. used in the denominator. â If there is more that one class of common stock outstanding, the market. values of all classes (even the non-traded classes) needs to be factored in.